ING chief explains decision to stay out of pension

03-11-2012

In an interview in Saturday’s Lidové noviny newspaper, Head of ING’s Czech Pension Fund unit Jiří Rusnok said that he considers investing in the proposed second pillar of the pension reform to be risk both ofr pension funds and customers. Mr Rusnok, who was one of the main advocates of the reform, expressed his dissapointment at the lack of political consensus. ING announced on Thursday that the fund is not planning on introducing financial products that would comply with the embattled pension reform. One of the main reasons, that the former Finance Minister Rusnok cited in the Saturday interview, is that given the opposition’s pledge to repeal the reform once the Social Democrats win the next parliamentary election, the new type of funds will cease to exist in two to three years time.